Five apps using the blockchain for good

Note: this article was originally published on Medium.

Last month, Paul Graham tweeted the following: “The nerdy earnestness of
people’s interest in cryptocurrency is to me the most promising sign about it.
Like microcomputers in the 1970s.”

Though an optimistic note for the future of cryptocurrency, this tweet also
points out the biggest current problem: the blockchain remains mostly a niche
subject, without enough high-profile real-world usage to go mainstream.

But the promise of the blockchain is its ability to disrupt existing industries,
decentralizing current structures for the benefit of the many over the few.

So with that in mind, the below list consists of five examples of apps that use
blockchain for the greater good. I hope this list gives you an idea of the
promise of blockchain technology, and its ability to restructure the world we
live in.

This article was sponsored by #3 on the list, Steemit, but all opinions are my
own.

1. Alice

Donating to charity has become a complicated game.

The rise of effective
altruism means more people
are focused on maximizing their positive impact — making sure their dollars do
the most possible good.

In order to do so, you need to research charities carefully, and make sure to
choose ones with a proven track record. This favors established charities over
new players.

Alice aims to disrupt this approach, using the Ethereum blockchain and smart
contracts. Its offering is simple: a guarantee of a charity’s effectiveness for
all donors.

It works much like crowdfunding. Charities set a goal, and ask for donations.
They raise money, but only receive that money once they complete their goal.

In other words, if the charity doesn’t deliver, they get nothing. You, as a
donor, can feel secure that your donation is actually going to accomplish real,
concrete good.

Check out Alice

2. Backfeed

Backfeed claims it “develops a distributed governance system for
blockchain-based applications allowing for the collaborative creation and
distribution of value in spontaneously emerging networks of peers.”

Whew, that’s a mouthful. In simpler terms, Backfeed provides tools for managing
organizations without a central authority.

These organization can encourage cooperation by rewarding contributions. These
contributions are rewarded based on their value to the community, as the
community judges it.

In other words, you get an organization where the majority decides what’s
valuable, rather than a single person or group.

Backfeed wants to make creating these organizations (through decentralized apps)
“as easy as deploying a website.”

Check out Backfeed

3. Steemit

Backfeed invoked the idea of “Facebook owned by its users.”
Steemit’s goal is more specific: Reddit, but where the
users are rewarded for their content.

Here’s their central argument:

Collectively, user-generated content has created billions of dollars worth of
value for the shareholders of social media companies, such as Reddit, Facebook,
and Twitter. Steem supports social media and online communities by returning
much of its value to the people who provide contributions by rewarding them with
virtual currency.

In other words, instead of Reddit’s “karma”, you earn Steem for posting content
the community likes. Steem can then be converted into Bitcoin or USD.

Steemit currently has a thriving cryptocurrency
community, mixed in with other categories of content.

4. 4G Capital

4G Capital is an African fintech company that (among other things) provides
unsecured loans to business owners in the “informal” job sector.

Informal jobs refer to black market or under the table work. Such jobs carry a
negative connotation but are a huge portion of Kenya’s economy, employing
between 60–70% of
people in unskilled work.

4G Capital plans to use smart contracts and the Ethereum blockchain as a way of
automating the distribution of
capital,
leading to greater economic growth in the area.

Check out 4G Capital

5. CCCoin

Unlike the others on this list, CCCoin isn’t an app — it’s a cryptocurrency in
of itself, but with a twist.

CCCoin isn’t mined, but distributed monthly on a consistent basis. The sales of
these new coins creates capital, which is then invested in charities.

Here’s the interesting part: buying CCCoin on the exchange gives you the right
to vote to decide which charities receive the money.

CCCoin thus functions less as a medium of exchange than as a way of cooperative
donation. The CCCoin team is also careful to follow up with the charities to
ensure the efficacy of the donation.

Check out CCCoin

Conclusion

Did I miss a great app? Have a question or comment? Let me know below!

Thanks for reading!